CORAA

Bank Guarantee Verification Certificate Format (CA Issued, Word)

A CA certificate verifying a bank guarantee's outstanding status, margin coverage, and invocation position — computes margin held as a percentage of the guarantee amount.

Free · CORAA original — SA-aligned
Updated 28 Jul 2026
Type
Certificate (not an audit opinion)
Computes
Margin held as % of guarantee amount
Reports
Validity, margin coverage, invocation status
UDIN
Required on every CA certificate
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Your firm — letterhead
Appears at the top of the document as the audit firm letterhead.
Used as the letterhead block.
Engagement details
The client and period this document is for.
What’s inside

An excerpt from the template.

CERTIFICATE OF BANK GUARANTEE VERIFICATION

This is to certify the status of bank guarantee no. ___ issued by ___ on behalf of ___, for the purpose of ___, based on the guarantee document, bank confirmation and books of account produced before us and the information and explanations given to us.

This certificate verifies the bank guarantee instrument's status as described above — its outstanding amount, validity, margin coverage, and invocation position. It does not certify performance of the underlying contractual obligation that the guarantee secures. This certificate is based on the information furnished and verified against supporting records to the extent considered necessary; it does not constitute an audit opinion within the meaning of the Standards on Auditing.

Firm Registration No.: ___

↑ Excerpt only — the full template is what you download as Word
About this template

What you’re downloading, and when to use it.

This template follows the format published by the Institute of Chartered Accountants of India (ICAI) in the AASB Audit Working Paper Templates (June 2023), the authoritative reference for Indian statutory-audit documentation. Fill in your firm’s letterhead and the engagement details on the form above, click Download Word file, and you’ll get a fully formatted .docx ready to use.

Everything is generated in your browser and on a stateless API endpoint — no account, nothing stored on our servers. We’ll ask for a work email once before your first download so we can send you the file and the occasional relevant update; after that, downloads on this device are instant. Edit freely in Word, Google Docs or Pages before sending to your client.

Common questions

FAQs.

Why would a beneficiary or bank ask for CA verification of a bank guarantee?
A bank guarantee is relied on by a third party (the beneficiary) as security — independent CA verification confirms the instrument's current status (still valid, not yet invoked, margin position) without the beneficiary having to directly query the issuing bank, which is useful during periodic counterparty risk reviews or before extending further credit against the same relationship.
What does the margin percentage on this certificate represent?
It is the cash margin or fixed-deposit lien the bank holds against the guarantee, expressed as a percentage of the total guarantee amount. A higher margin percentage generally means the bank has taken lower net credit exposure on that guarantee, since more of it is cash-backed.
Does this certificate confirm the underlying contract was actually performed?
No — it verifies the bank guarantee instrument itself (amount, validity, margin, invocation status), not whether the contractual obligation the guarantee secures has been performed. Those are separate questions; a performance guarantee remaining un-invoked doesn't by itself prove the contract was fulfilled.
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